Deficit Owls | 'Too Big To Fail' Banks Are Forcing Small Banks Out Of Business @deficitowls5296 | Uploaded August 2016 | Updated October 2024, 11 hours ago.
Professor L. Randall Wray explaining how the "Too Big To Fail" banks are forcing the smaller banks out of business. The reason is because markets demand less interest from TBTF banks, because the customers can't have their service interrupted since the government won't let them fail. If a smaller bank failed, the government still guarantees your money, but it would take some time and you'd experience an interruption in service, so markets are charging higher interest rates.
See the whole video here: youtube.com/watch?v=KoBnwfokW5Q&list=PLYvSXI9SKGf2lIno6TI0r_PbLX_cpAwuu&index=8
Like Deficit Owls on Facebook: facebook.com/DeficitOwls
Professor L. Randall Wray explaining how the "Too Big To Fail" banks are forcing the smaller banks out of business. The reason is because markets demand less interest from TBTF banks, because the customers can't have their service interrupted since the government won't let them fail. If a smaller bank failed, the government still guarantees your money, but it would take some time and you'd experience an interruption in service, so markets are charging higher interest rates.
See the whole video here: youtube.com/watch?v=KoBnwfokW5Q&list=PLYvSXI9SKGf2lIno6TI0r_PbLX_cpAwuu&index=8
Like Deficit Owls on Facebook: facebook.com/DeficitOwls
